English, Article, Journal or magazine article edition: ChinAfrica : How can the Sino-African cooperation be beneficial for Africa ? Luca, MARCHIORI

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Bookmark: http://trove.nla.gov.au/version/177936
Physical Description
  • preprint
Language
  • English

Edition details

Title
  • ChinAfrica : How can the Sino-African cooperation be beneficial for Africa ?
Author
  • Luca, MARCHIORI
Physical Description
  • preprint
Notes
  • In this paper, different scenarios of increased cooperation between China and African countries are simulated. Recent intensification of political and economic ties between China and Sub-Saharan Afreican countries may give hope that an economic improvement in Sub-Saharan Africa (SSA) is possible. Three channels may lead to a catching-up for Africa with China : a reduction in AfricaÕs investment risk, an increase in its total factor productivity (TFP) and an improvement of its worker skills. A computable general equilibrium model of the world economy is used, that shares the world in 10 regions, among which Sub-Saharan Africa and China. Three scenarios are considered in which, by 2100, Africa will have reduced simultaneously its gaps in investment risk, TFP and eduction to China by either 20% (scenario 1), 40% (scenario2) or 60% (scenario3). The effects on the Sub-Saharan African economy are very promising. The results show that, already in 2050, Africa will have increased its per capita Gross Domestic Product (GDP) by 50% with scenario1, 80% with scenario 2 and by 125% with scenario 3.
  • OLG-CGE Model, Catching-up, sSmulations, Africa, China
  • RePEc:ctl:louvec:2007014
Language
  • English
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